Saturday, November 17, 2012

EPA Stands By “Misguided” Ethanol Mandate

ARRA News Service — The Environmental Protection Agency’s (EPA) has refused to grant waivers requested by several states for relief from the ethanol mandate. Daniel Horowitz on RedState:identified that "a bipartisan group of 156 representatives, 8 governors, and 25 senators petitioned the EPA to temporarily waive the ethanol mandate in the Renewable Fuels Standard until we recover from the drought" Yesterday, the EPA announced that it had no intention on suspending the mandate for even one day.

On August 3rd, Peter Urban, Stephens Washington Bureau addressed the request for waivers including the request by Arkansas Gov. Beebe."A sharp spike in feed prices because of the continued drought is costing the nation’s poultry industry millions of dollars and threatening jobs. We have put on hold any plans to expand production and create new jobs because of the increased grain costs,” says Gary George, president of Springdale-based George’s Inc. . . .

At Ozark Mountain Poultry in Rogers, chief executive officer Ed Fryar offers a similar story. At current prices, feed will cost them an extra $12 million over the next year. “An increase in feed costs of this magnitude will be difficult for us to manage or survive,” he says. Without some relief, Fryar says the company may be forced to reduce production and lay off some of its 500 employees.

Mark Hickman, president of Peco Foods Inc. in Tuscaloosa, Ala., says the high feed prices may cause layoffs at their processing facilities in Alabama, Mississippi and Arkansas.

The company, he says, had otherwise planned to expand its operations and possibly hire as many as 300 workers. “We have put on hold any plans to expand production, hire new employees, add growers,” Hickman said.Governors of Arkansas, North Carolina, Maryland, New Mexico, Georgia, Texas and Virginia also asked and were denied waivers of the Renewable Fuel Standard law which require motor fuel producers to include 13.2 billion gallons of ethanol in the mix this year EPA is requiring 13.2 billion gallons of ethanol to be blended into gasoline in 2012, rising to 13.8 billion next year and 15 billion gallons by 2015.

One of President Obama's personal supporters of Obamacare was Arkansas Gov. Mike Beebe (D) who also requested a waiver of the ethanol mandate which has been denied. The entire Arkansas Congressional delegation (democrats and republicans) supported the waiver request,

Sen. Mark Pryor (D-AR) sharply disagreed with the EPA’s denial of the waiver: “Their decision will not only cause economic harm for our livestock and poultry producers, but it will also negatively impact consumers and food manufacturers. The EPA should reconsider their decision. Arkansans need relief.”

U.S. Senator John Boozman (R-AR) responded to the EPA's refusal:“Forty percent of our corn crop goes to ethanol production. As a result of the drought, that number is likely to climb even higher. All that does is drive up the cost of corn, which in turn drives up the cost of commodities in general, and that translates to higher prices at the grocery store for all of us.”

“The law allows the EPA to adjust the ethanol mandate to prevent economic harm to American families. The mandate is hurting Arkansas and many other states. Governor Beebe and several other state governors requested that the EPA grant a waiver. I joined with over two hundred of my colleagues from both sides of the aisle, in both the House and the Senate, to support this effort. Instead of hearing our bipartisan calls for relief, the EPA chose to stand by its misguided policy.”

“The EPA’s decision makes absolutely no sense. These subsidies have an incredibly negative effect on the cost of living for every Arkansan. Arkansans are hurting and overbearing federal agencies like the EPA seem intent on making the wound deeper. I am committed to helping the people of Arkansas who are struggling in this difficult economy and will continue to fight these harmful mandates.”Congressman Tim Griffin (AR-02) responded, “The EPA’s Renewable Fuel Standard regulatory rules are another example of how the Obama Administration’s policies are hurting our economy. Because of their refusal to grant our state’s ethanol waiver request, hardworking Arkansas farmers, ranchers and consumers will be forced to pay more for the food and supplies they need.”

Referring back to Horowitz, he also encouraged citizens to "Challenge your representatives to submit a bill that will repeal the ethanol mandate and begin rehabilitating the image of the Republican Party as the party that stands with individual liberty over Obama cronyism."Tags:EPA, ethanol mandates, waivers, deniedTo share or post to your site, click on "Post Link". Please mention / link to the ARRA News Service. Thanks!

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